All Forum Posts by: Jimmy Hong

I would get a second opinion just to confirm. I don't know any lenders that refi's that low amount.

Hey guys & gals,

My wife have been following this young couple and they have been making a name for themselves, coming out with books, tv interviews, etc. Interesting read.

http://www.younghouselove.com/

Hi @Grant Brewer , thanks for sharing, good to hear you are doing well. I've asked and read about partnership deals myself and there are pretty good info and opinions on here.

So if your partner 1 does 100 hours and you and partner 2 does 50, partner 1 gets 50% of profit? What about the 100% of the money you risked? Where does that count in your partnership deal?

There are no set standard structure but I have found many experienced investors do it this way: if you bring 100% of the money, and your partner does 100% of the work, split 50/50. In your case, since you do the work as well, it would be 75/25, and 25% would be split among both your partners. Why would they get more than you if they log in more hours? If you are taking all the risks and putting in the labor, you should be compensated properly. Again, this is one of many different partnership setups.

I do fix and flips but I don't offer partnerships or profit share to my contractor or friends. We agree to set price for their work, and they get paid whether the property profits or not. I also don't agree to hourly pay. Hourly pay mentality for contractors or workers really does not help your goal of rehabbing your property in time.

Thanks @Mike Hurney , I already spoke with my agent and will apply the rules for all my future properties. Like @J Scott stated, this could be a good thing that happened to me, now I know how I can influence the closings with higher success rate.

Thanks for the suggestion @Account Closed

Hey @Account Closed , thanks for sharing your 1st rehab experience. Glad you made it out okay, great points to share afterwards. Just curious and I don't know who your partner is but after your experience, do you plan on doing another joint project with him again?

Haha, thanks @David T. .

@J Scott , awesome advice. I'm going to follow it to the T on my next buyer. I already have a broker I have in mind. I have used him several times and been successful. This was not a FHA loan, it was a conventional with 20% down.

I'll keep everyone posted as I use your steps to better the closing process. I still don't like Wells Fargo though :).

Thanks a bunch.

Thank you @Jacob A. , we are definitely going to advise future buyers to not use Wells if possible. My wife and I are also going to close our personal Wells account and move to community or regional bank. We were planning to do this anyways, but this just confirms it. My wife cannot see the sight of Wells Fargo anymore, which is really bad because they are everywhere :).

Thanks @Mike Hurney , we do have non-refundable deposit in the contract. I'm sure she'll still fight for it but so will we. She was also pre-approved as well.

Looking back, nothing really we could have done things differently, she accepted our full asking offer, non refundable deposit, pre-approved lending... she was very motivated buyer. What can I say or do? Any suggestions I could have done differently?

Thanks